Commissioner for Revenue: Deductions in Respect of Intellectual Property and Intellectual Property Rights
On the 28 December, 2023, the Commissioner for Tax and Customs announced that, with effect from the period covered by the year of assessment 2024, any expenditure of a capital nature incurred on Intellectual Property or Intellectual Property Rights may be deducted in full in terms of article 14(1)(m) of the Income Tax Act (Cap. 123 Laws of Malta) in the year that the said expenditure has been incurred or in the year in which the Intellectual Property or Intellectual Property Rights are first used or employed in producing the income.
Year of Assessment 2023
Any deductions that were yet unclaimed as at the year of assessment 2023 with regard to expenditure of a capital nature on Intellectual Property and Intellectual Property Rights that was incurred before the period covered by the year of assessment 2024, may be claimed in full in the year of assessment 2024.
These deductions may only be claimed against income produced through the use or employment of the Intellectual Property or Intellectual Property Rights.
The full notice may be accessed, here:
Contact Ecovis Malta, at malta@ecovis.com, for assistance to benefit from the above deductions.
